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Australian October CPI Growth Cools to 4.9%

moomoo ·  Nov 28, 2023 19:35

The number: Australia's Consumer Price Index (CPI) grew by 4.9 percent in October on an annual basis, falling short of the analysts' consensus of 5.2 percent.

Why it matters: This figure is critical as it indicates the ongoing inflation challenges that Australia faces. To get inflation back on target, the Reserve Bank of Australia increased the cash rate to 4.35 percent last month and also revised its price growth expectations.

What has changed: CPI grew 5.6 percent in annual terms in September. However, the October report gives only a partial picture because many categories, including services that are the source of much concern to the RBA, are not surveyed.

What next: The RBA will make its next cash rate decision on December 5, when it is expected to keep rates on hold at 4.35 percent.

Disclaimer: This content is for informational and educational purposes only and does not constitute a recommendation or endorsement of any specific investment or investment strategy. Read more
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